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New Pacific Metals (NYSE:NEWP) -5.8% post-market Monday after saying a syndicate of underwriters agreed to purchase more than 13.2M common shares on a bought deal basis at C$2.65/share, for total gross proceeds of ~C$35M.
The company also will grant to the underwriters an over-allotment option to purchase up to ~1.98M additional common shares.
Silvercorp Metals (SVM) plans to subscribe to more than 2.5M common shares representing ~US$5M in gross proceeds, which would raise its ownership stake in New Pacific Metals (NEWP) to 27.4%, not including any over-allotment.
Also, Pan American Silver (PAAS) plans to subscribe to more than 5M common shares representing ~US$10M in gross proceeds, which would raise its ownership stake in New Pacific (NEWP) to ~11.6%, not including any over-allotment.
New Pacific (NEWP) said it will use the proceeds of the offering to advance exploration and development at its Silver Sand and Carangas projects, for working capital, and for general corporate purposes.